- Shiba Inu (SHIB) has dropped by 15% in the last 2 weeks, with declining burn rates and large transaction volumes signaling continued bearish momentum
- Reduced exchange reserves and SHIB’s Relative Strength Index (RSI) nearing oversold territory suggest a potential rebound may be on the horizon
- The meme coin sector as a whole is experiencing a downturn, with the market capitalization down 4% in the last 24 hours
The past two weeks have been tough for Shiba Inu (SHIB) as it experienced a significant drop of 15%. Several factors suggest that SHIB may continue to chart additional price decline in the foreseeable future, which we will explore in this article.
Shiba Inu’s Troubles in the Cryptocurrency Market
The past two weeks have not been easy for Shiba Inu. While leading cryptocurrencies like Bitcoin and Ethereum have seen impressive gains, Shiba Inu hasn’t been so fortunate. Its value has dropped by over 15% during this period, and it currently trades at approximately 0.00002575 per CoinGecko’s data, representing a 6% daily decline.
Factors Leading to Shiba Inu’s Market Struggles
Several factors could be contributing to Shiba Inu’s continued bearish momentum. One such factor is the overall decline in the meme coin sector, which has seen its market capitalization drop by 4% in the last 24 hours. Shiba Inu’s burning mechanism has also shown signs of slowing down, with the burn rate decreasing by almost 70% in the past week. Additionally, Shiba Inu’s large transaction volume, a crucial momentum indicator, has decreased by 42%, indicating potential bearish territory.
Positive Indicators for Shiba Inu’s Future
Despite the current bearish trend, some indicators suggest a potential rebound for Shiba Inu. For instance, the Shiba Inu exchange reserve has recently dropped to levels last seen in the spring of 2021. This shift towards self-custody methods could be considered bullish as it reduces the immediate selling pressure. Additionally, SHIB’s Relative Strength Index (RSI), which measures the speed and change of price movements, has been on a downtrend in the last week. This could suggest a potential buying opportunity, as readings below 30 are often seen as signs of oversold conditions.
Conclusion
In conclusion, while Shiba Inu has been underperforming in the recent weeks, not all hope is lost. Given the current indicators and market conditions, a potential rebound could be on the horizon. However, only time will tell whether Shiba Inu will be able to recover its losses and return to a bullish momentum. As always, investors are advised to conduct their own research before making any investment decisions.
